Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help me answer requirements 1 & 2! thank you. Nascar Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to

image text in transcribedimage text in transcribedimage text in transcribed

please help me answer requirements 1 & 2! thank you.

Nascar Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May 2017 are as follows: E(Click the icon to view the data.) The selling price per vehicle is $30,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs. Read the requirements. Requirement 1. Prepare April and May 2017 income statements for Nascar Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2017 income statements for Nascar Motors under variable costing. Complete the top half of the income statement for each month first, then complete the bottom portion. (Complete all answer boxes. Enter a "0" for any zero balance accounts.) April 2017 May 2017 i Requirements Regu 1. Prepare April and May 2017 income statements for Nascar Motors under (a) variable costing and (b) absorption costing. 2. Prepare a numerical reconciliation and explanation of the difference between operating income for each month under variable costing and absorption costing i Data Table April May Unit data: Beginning inventory Production 150 450 580 Sales 350 $ 8,000 $ 2,400 8,000 2,400 Variable costs: Manufacturing cost per unit produced Operating (marketing) cost per unit sold Fixed costs: Manufacturing costs Operating (marketing) costs $ 2,000,000 $ 800,000 2,000,000 800,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Algorithms Understanding Algorithmic Systems From The Outside In Foundations And Trends

Authors: Danaƫ Metaxa, Joon Sung Park, Ronald E Robertson, Karrie Karahalios, Christo Wilson, Jeff Hancock, Christian Sandvig

1st Edition

1680839160, 978-1680839166

More Books

Students also viewed these Accounting questions

Question

7. Identify six intercultural communication dialectics.

Answered: 1 week ago